The Buyer
When acquiring property, it is recommended for the buyer to purchase an owner’s title insurance policy as it will provide protection in the event that there is a covered title issue or defect against the property. A title insurance policy enables the buyer to enjoy peace of mind in protecting, what is often, their largest asset.
The Lender
When a property is purchased and the person is using a lender to borrow money, that lender will commonly require the buyer to purchase a lender’s title insurance policy. The lender’s policy covers the lender’s loss of damage, up to the amount of the outstanding balance on the mortgage, related to the covered title issue or defect, but it does not cover the buyer’s loss or damage related to that issue or defect.
It is important to note that there are enhanced premium policies that offer coverage for some risks that are not covered by a standard policy. At MFB Title Solutions, we are here to assist you in the closing and ready to answer any of your insurance questions.
